Functional Ownership - Cost Optimization Pillar

Functional Ownership

Establish a cost optimization function: This function is responsible for establishing and maintaining a culture of cost awareness. It can be an existing individual, a team within your organization, or a new team of key finance, technology and organization stakeholders from across the organization.

The function (individual or team) prioritizes and spends the required percentage of their time on cost management and cost optimization activities. For a small organization, the function might spend a smaller percentage of time compared to a full-time function for a larger enterprise.

The function requires a multi-disciplined approach, with capabilities in project management, data science, financial analysis, and software/infrastructure development. The function is can improve efficiencies of workloads by executing cost optimizations (centralized approach), influencing technology teams to execute optimizations (decentralized), or a combination of both (hybrid). The function may be measured against their ability to execute and deliver against cost optimization goals (for example, workload efficiency metrics).

You must secure executive sponsorship for this function. The sponsor is regarded as champion for cost efficient cloud consumption, and provides escalation support for the function to ensure that cost optimization activities are treated with the level of priority defined by the organization. Together, the sponsor and function ensure that your organization consumes the cloud efficiently and continue to deliver business value.